AUD/USD bulls attempting a fresh move beyond 0.6600 mark

• AUD/USD gains some traction on above forecast Aussie Q4 GDP growth figures.
• A goodish pickup in the USD demand kept a lid on any strong follow-through.
• Investors now look forward to the US macro releases for some trading impetus.

The AUD/USD pair edged higher for the third consecutive session on Wednesday, with bulls making a fresh attempt to build on the momentum beyond the 0.6600 round-figure mark.

Following the previous session’s late pullback from near two-week tops, the pair managed to regain some positive traction during the Asian session on Wednesday and was being supported by the release of above-forecast Aussie GDP growth figures.

Resurgent USD demand seemed to cap gains

According to the Australian Bureau of Statistics, the domestic economy recorded a growth of 0.5% during the fourth-quarter of 2019 as compared to 0.3% anticipated. This was accompanied by an upward revision of the previous quarter’s growth to 0.6% (0.4% reported earlier) and remained supportive.

However, a goodish pickup in the US dollar demand, despite the ongoing slump in the US Treasury bond yields to fresh record lows, kept a lid on any strong positive move. The pair remained capped below the overnight swing high, touched in reaction to the Fed’s surprise move to cut rates by 50bps.

It will now be interesting to see if the pair is able to gain any strong follow-through buying or runs into some fresh supply at higher levels. Traders now look forward to the US economic data – the ADP report and ISM Non-Manufacturing PMI – for some impetus later during the North-American session.

Technical levels to watch